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OpenAI unveils first chip as part of Broadcom deal in effort to 'build the full stack'

TLDR Covered by 2 sources

OpenAI and Broadcom unveiled Jalapeño, a custom AI chip designed for inference workloads, marking OpenAI's first entry into silicon manufacturing. The chip was designed in nine months and will be deployed starting late 2026, with significant scaling expected in 2027 and early 2028. OpenAI aims to reduce dependence on Nvidia GPUs and build a complete technology stack to serve AI models more efficiently and affordably.

Why it matters

OpenAI and Broadcom's Jalapeño chip is designed for inference, the compute-intensive process of serving AI models to users. It took nine months for the companies to design the chips end-to-end, with OpenAI's AI models helping accelerate the process.

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